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Bot under fire over offshore accounts

Discussion in 'Jukwaa la Siasa' started by Sokomoko, Apr 19, 2008.

  1. Sokomoko

    Sokomoko JF-Expert Member

    Apr 19, 2008
    Joined: Mar 29, 2008
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    Bot under fire over offshore accounts

    By Mkinga Mkinga

    The Bank of Tanzania (BOT) yesterday came under intense pressure to relax its confidentiality clause and reveal the names of top officials holding offshore accounts to assist the Government in the anticorruption campaign

    Lawyers and politicians yesterday mounted pressure on the Central bank of Tanzania (BOT), describing its confidentiality clause that bar it from disclosing leaders owning offshore accounts as unreasonable and incredible.

    They also criticised the Public Leadership Code of Ethics Act 2002 requires public leaders to declare their assets when the join the government or public, but soon after declaration it becomes a top secret that can?t be accessed by the public.

    They were reacting on a clause that gives BOT the mandate not to disclose names of government leaders as well ordinary Tanzanians who sought the bank?s permission during the process to open offshore accounts.

    Among other things, the Public Leadership Code of Ethics Act 2002 requires public leaders to declare their assets and liabilities. Failure to do so, or the making of a false declaration, is a criminal offence and punishable with a fine of between Sh1m and Sh5m and up to one year imprisonment.

    ?The BOT clause is a bad as Public Leadership Code of Ethics Act because its main intention is protect culprits and corrupt leaders who have stashed our monies abroad.? Dr. Sengondo Mvungi a law lecturer at the University of Dar es Salaam told The Citizen.

    Dr. Mvungi added, ?It was high time the parliament abolished these draconian laws if the government is serious about fighting corruption.?

    The leader of opposition camp, Hamard Rashird told the Citizen that following the unfolding details about various government officials who have stashed billions of taxpayers abroad by using offshore banks, the BOT should come clean by having strong and transparent law to deter the situation.

    ?We need to verify whether all government leaders including MPs declared their all wealth including offshore accounts they own oversee?to establish this the public should be allowed to access the wealth declaration forms which we filled.? The leader of opposition camp said.

    ?If it will be established that some leaders didn?t declare these offshore accounts then they will face criminal offence for perjury.? The opposition MP further told the Citizen.

    Professor Ibrahim Lipumba, the chairman of Civic United Front, said, ?BOT should come clean out of this and tell the public whether those owning billions abroad got its permits.?

    Professor Lipumba who is an economist doubted whether BOT has the clear records of a number of government leaders as well as ordinary Tanzanians who owns offshore accounts oversee.

    ?They might be hesitating to comment anything about what is going on so far because they have no data?but we need to be informed on whether those currently investigated sought the BOT permission.? Professor Lipumba said yesterday.

    Giving his views about the BOT confidentiality clause, Kigoma North MP Zitto Kabwe said, ?In a country that is striving to fight corruption and money laundering, transparency should be encouraged especially within the BOT itself.?

    ?We are sure that some of the government leaders didn?t declare their offshore bank accounts?this is perjury and they should be taken before the court of law.? Kigoma North MP added.

    According to details confirmed by the Bank of Tanzania officials yesterday, all Tanzanians are strictly prohibited to own offshore bank accounts.

    In what could prompt a new debate about all leaders as well as ordinary Tanzanians who owns offshore bank account, in 1998, the BOT issued a circular stating clearly that no one is allowed to have an oversee bank account while that person reside in the country.

    The secular titled ?Foreign Exchange Secular No 6000/DEM/EX.REG/58 of 1998 states, ?It should be noted that operational of offshore currency account by residents is prohibited.?

    The secular made available to The Citizen insist that to operate an offshore account, you have to seek permission from the BOT governor.?

    The Citizen has established that for BOT to issue a special permission for anybody to operate an offshore or oversee account, the bank needs to satisfy itself that the applicant has clean money, obtained through legal channel.

    It further states, ?It should be noted that portfolio investment, foreign lending operation in favour of non residents or acquisition of real estates, upward direct investments are subject to restrictions.?

    Asked whether the circular was still in use, the BOT deputy governor responsible for foreign exchange and foreign banking said, the order was still valid.

    Mr. Juma Reli, the deputy governor also confirmed about the circular, insisting that the BOT circular was still valid.
    ?This circular is still valid and operational.? Mr. Reli told the Citizen over the phone on Thursday.

    It is believed that dozens of some ex-government officials as well as the current public leaders and servants owns secret foreign accounts oversee especially in Switzerland.

    However whether the BOT issued a special permission for the said individuals to operate offshore accounts is still not known clearly as no any top officials within the country?s highly respected institution was ready to discuss this yesterday.

    Apart from owning offshore accounts, some former and current government leaders are said to be owning posh homes abroad especially in South Africa, Dubai, UK, US and Switzerland.

    The debate on whether those owning offshore bank account emerged this week following the reports by UK based newspaper that one of the cabinet Minister Andrew Chenge owns $1million in an offshore account in Jersey.

    Source: The Citizen
  2. J

    Jamco_Za JF-Expert Member

    Apr 19, 2008
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    Hawawezi kutoa majina ya watu wenye offshore account hata siku moja kwakuwa itakuwa mwanzo wa matatizo kwa CCM, maana viongozi wote wa CCM wana offshore account zenye pesa nyingi.
    Hizi pesa nyingi nafikiri sio halali maana ni ufisadi na mihadarati.
  3. Sokomoko

    Sokomoko JF-Expert Member

    Apr 19, 2008
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    Hakuna cha mihadarati hapo pesa nyingi ni 10% na 100% za miradi na mkataba mibovu. Tembeleeni Irente View muone pesa zetu zilivyofanya kazi. Hapo ndio kwenye hoteli ya kitalii ya mhe che nkapa yeye mwenyewe anakaa kwenye mkuzi sehemu ambayo ni adimu sana kwa hapa tazania na huyu ndie mwenye nyumba zilizotajwa kwenye hiyo habari hapo juu ( za south Africa) alimweka wakala wa kuuza mashirika yetu balozi ame akafanikisha kumanyia mandingo na sasa anamiliki hoteli kubwa sana S.A itatubidi na sisi tutafute uongozi maana hizi kazi nyingine tutakufa masikini hehehehehehe.
  4. M

    Mtanzania JF-Expert Member

    Apr 19, 2008
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    Yaani BOT hawawezi kutoa majina ya watu wenye offshore account hata kama PCCB wanataka hiyo info?

    Jamani hivi hii ni kweli? Mimi nilifikiri BOT ipo kulinda maslahi ya nchi?